Retail, or inventory, shrinkage is defined as inventory losses occurring from employee theft, shoplifting, organized retail crime, administrative error and vendor fraud. Of these, it is estimated that employee theft and shoplifting account for approximately 80% of the dollars lost to shrinkage. Retail shrinkage is the single largest category of larceny in the United States, larger than motor vehicle theft, bank robbery, and household burglary combined. According to the National Retail Federation, in 2006 the retail industry lost more than $41 billion to shrinkage, of which nearly $33 billion could be attributed to employee theft and shoplifting.
Consumers, as well as retailers, are affected by this type of theft. Losses realized by the retailers are passed on to consumers in the form of higher prices and reduced availability of popular retail merchandise. In 2002, the average American family spent approximately $440 more in higher prices because of inventory theft.
It would therefore be desirable to have device which allows for the display of retail merchandise, but which deters theft by employees and consumers. Embodiments of the invention provide such a device. These and other advantages of the invention, as well as additional inventive features, will be apparent from the description of the invention provided herein.